Official figures indicate a drop in unemployment; however, rising wages—driven by higher contribution bases—the upward adjustment of maximum benefit ceilings set by law, and the impact of inactive discontinuous-fixed workers (fijos discontinuos) are driving up total expenditure on unemployment benefits.
The cumulative bill between January and July—the latest available data—amounts to 14,695 million euros, representing an average monthly outlay slightly exceeding 2,000 million euros.
As a result, over the first seven months of the year, the state allocated 3.8% more to unemployment payouts than during the same period last year, and 22% more than four years ago (12,051 million euros between January and July 2022).
Excluding the extraordinary COVID-19 pandemic period, one has to go back to 2014 to find a higher spending level (15,406 million euros over that same period).
